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Motors U.S. Safety Recalls, Already Gargantuan, Grow a Chunk: 717,000 Minivans Add to GM 2004 Total
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General Motors U.S. Safety Recalls, Already Gargantuan, Grow a Chunk: 717,000 Minivans Add to GM 2004 Total
The National Highway Traffic Safety Administration announced that General Motors Corporation is recalling 717,302 minivans to repair a power sliding door problem. If the interior door handle is held as the door opens, an injury to the person's wrist or arm may occur. The NHTSA reports that, as of three months ago, it had received 21 complaints - reporting 19 injuries and 13 broken bones - regarding the problem. GM states that it knows of 91 injuries resulting from the problem.
The affected models are the:
1997-2005 Chevrolet Venture, 1997-2005 Pontiac Transport and Montana, 1997-2004 Oldsmobile Silhouette. The Chevrolet Venture regular made the Worst of 1997, the Worst of 1998, and the Worst of 2000 reliability lists, the extended edition of the Chevrolet Venture made the Worst of 1999 and the Worst of 2000, the extended editions of the Pontiac Transport/Montana made the Worst of 1997, the Worst of 1998, the Worst of 1999, the Worst of 2000, and the Worst of 2001, the Oldsmobile Silhouette regular made the Worst of 1999, and the extended edition of the Oldsmobile Silhouette made the Worst of 1997, the Worst of 1998, the Worst of 1999, the Worst of 2000, and the Worst of 2001. The 2001 model year is the most recent year for which the Best and Worst reliability lists have been assembled.
Outside the U.S., GM will recall 133,425 Opel Sintra minivans for the same problem. Alan Adler, a GM spokesman, said that most of these vehicles had been sold in Canada.
Prior to this latest recall, GM's 2004 U.S. safety recall total exceeded 9 million. (See "GM Safety Recalls May Take Another Leap," December 2004.) For all of 2003, GM's U.S. safety recall total was 7.4 million. For comparison, GM's number of 2003 U.S. safety recalls per vehicle sold in recent years was about 13 times that of Toyota Motor Corporation. (See "General Motors' U.S. 2003 Recall Numbers: A Bottomless Pit and a GM Defense?" March 2004.) For the first half of 2004, GM's number of U.S. safety recalls per vehicle sold in recent years was about 8 times that of Toyota. (See "General Motors' Recalls Remain Gargantuan in First Half of 2004," July 2004.)
GM's gargantuan number of 2004 recalls comes at a time when GM is putting forth great effort to convince consumers that the quality of its products is such that they should be willing to pay a price for the product that exceeds its cost of production. However, to move its unsold inventory off dealer lots, GM is reported to be currently offering rebates as large as $8,000,1 likely putting the asking price below the cost of production. By early January, the success or failure of this fire sale should provide a good indication as to whether GM's recall and reliability histories speak louder to U.S. consumers than its media advertising.
1 "GM CEO Sees Weaker December Sales," Michael Ellis, Reuters, December 17, 2004, available at Yahoo! News
Sources for GM minivan recalls: "GM Recalling 717,302 Minivans," Reuters, December 23, 2004, available at Yahoo! News and "GM Recalling More Than 700,000 Minivans," the Associated Press, December 23, 2004, available at Yahoo! News
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